CBUAE prohibits takaful insurer from issuing insurance contracts

The Central Bank of the UAE (CBUAE) prohibited a takaful insurer operating in the UAE, from issuing or concluding new, or renewing, motor and health insurance contracts.

The action comes as a result of the insurance company failure to meet the minimum capital requirement. The CBUAE has given the insurer a period of six months to remediate the solvency position and comply with its directions.

The CBUAE, through its supervisory and regulatory mandates, works to ensure that all insurers, their owners and staff abide by the UAE laws, regulations and standards adopted by the CBUAE to safeguard policyholders as well as the integrity of the insurance sector and the UAE financial system.